Performance Funding Found to Increase Use of Data

Submitted by Paul Fain on December 19, 2011 - 3:00am

A new study[1] released by the Community College Research Center found that performance-based funding policies lead to greater use of data by colleges in institutional planning. Performance-based funding also encourages academic improvements and better student services. However, the policies can create unintended consequences, such as compliance costs, narrowing of institutional missions and grade inflation, the study found.